We all know that Millennials are moving more slowly when it comes to forming their own independent households and purchasing a home, but just how slowly are they moving is harder to visualize. The Housing Perspectives blog has broken down some research in an effort to offer greater understanding of millenial housing issues by comparing them to the generations that preceded them.
The statistics were broken down into different age cohorts. The trends of these cohorts were then viewed through the lenses of population size, household numbers, ownership, and renting in an effort to help visualize exactly what is going on.
What these trends show is that millennials are indeed quite slower at entering the ownership and renting markets than previous generations, but they are not the only generation that is moving at a slower pace. The next oldest cohort, born between 1969 and 1978, are also well below the levels achieved by Baby Boomers when it comes to forming their own individual households.
While there is plenty of room for upward movement for these two youngest cohorts, it is very unlikely they will ever reach the 16 million owner households achieved by each 10-year Baby Boomer cohort--unless there are significant reductions in the hurdles to becoming a homeowner that these younger generations face. But if the trends are anything to go by, the two youngest cohorts should make steady gains in household formation as they enter their 40s and 50s over the next couple of decades.
For a full breakdown of the statistics and to view accompanying graphics, follow the link below.